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corporate loans with short maturities. The effect is most pronounced for banks that did not lower their own retail deposit rates …-through during the low-for-long period with banks raising their lending rates as monetary policy is eased. Unconventional monetary …
Persistent link: https://www.econbiz.de/10014345595
Using lenders becoming members of the Task Force on Climate-Related Financial Disclosures (TCFD) as a plausible exogeneous shock, we examine whether and how lenders’ commitment to transparent climate-related disclosures affects borrower firms’ environmental performance. We find that client...
Persistent link: https://www.econbiz.de/10014355208
requirements and reviewing banks' lending standards relative to current collateral values …
Persistent link: https://www.econbiz.de/10012711321
products that allow banks to more actively manage their credit portfolios than ever before. We analyse the effect that access … to these markets has had on the lending behaviour of a sample of banks, using a sample of banks that have not accessed … these markets as a control group. We find that banks that adopt advanced credit risk management techniques (proxied by the …
Persistent link: https://www.econbiz.de/10012717184
This paper demonstrates how the observed correlation between probability of default and loss given default depends on the fact that defaults in which collateral provides 100% recovery are not observed. Creditors see only the defaults of mortgagors who suffer from a fall in collateral value to...
Persistent link: https://www.econbiz.de/10012719016
Using a spatial competition model of retail payment networks, this paper discusses the likely economic consequences associated with the formation of the Single Euro Payments Area (SEPA). The model considers an expansion of positive network externalities on the demand side and adjustment cost on...
Persistent link: https://www.econbiz.de/10012720161
We study the long standing issue of whether markets can supply banks with sufficient liquidity or whether markets … possibility of laxity in banks' monitoring of firms, may increase with liquidity outflows because banks need to increase their …. The model shows how moral hazard limits of banks' ability to borrow from markets to cover liquidity outflows. It also …
Persistent link: https://www.econbiz.de/10012721121
concerning the banks. Separation obtains in market segments where the 'high risk' borrowers receive credit from their preferred …
Persistent link: https://www.econbiz.de/10012721141
macroeconomic factors explain banks' loan losses. The dependent variable is the ratio of net loan losses to lending in a panel … to be generated by strong adverse aggregate shocks under high exposure of banks to such shocks. The model has been used …
Persistent link: https://www.econbiz.de/10012721158
and the government guarantees bank's liabilities, we show first that more generous bailouts may or may not induce banks to … loose and more generous bailouts induce banks to take on more risk. If systematic risk is high and the optimal liquidity … policy is tight, less generous bailouts induce banks to take on less risk. However, when high systematic risk makes a very …
Persistent link: https://www.econbiz.de/10012929472